I also mentioned the Tercel because it helped Toyota to welcome a new car into the foray, the Toyota Paseo. Based on the Tercel, the Paseo’s 1.5-liter engine had an output of 100 horsepower and 91-lb.ft. of torque. While it was only available as a front-wheel-drive vehicle, the drivetrain set up allowed the vehicle weight to stay down with a curb weight of 2,070 pounds.
This was a bit of a break through model for Toyota. It allowed an entry-level price into the automotive market, while also competing in the sports car segment. Since it was based on the Tercel, initial costs and ownership costs were low.
It also had an EPA rating of 24 city, 31 highway. It was perfect as a first car, for a new car owner that wanted something completely different. While the Toyota Paseo didn’t last long, it was the forerunner to what may eventually come up next almost 25 years later, the Scion S-FR.